Obviously the price of the company has increased... this is clear.
I was just checking what maths had been done to get to the new share price (ie, how many new shares make up one old share). Do I still have 50 shares, now worth £40 each or will they be diluted by the new share issue so I will have 1,342 shares each worth £1.49.
It's more of a technical point rather than a fundamental where the fuck has my money gone question.
You have the same number of shares, but they represent a smaller proportion of the total number of shares in circulation, so you own a smaller proportion of the company. However, the current financing round puts a higher value on shares in circulation. Of course, to realise that value now you'll have to find a buyer for them, and you may lose some tax breaks (see small print).
You have the same number of shares, but they represent a smaller proportion of the total number of shares in circulation, so you own a smaller proportion of the company. However, the current financing round puts a higher value on shares in circulation. Of course, to realise that value now you'll have to find a buyer for them, and you may lose some tax breaks (see small print).